United States President Donald Trump has threatened to impose a 25% tariff on Apple. On Friday, he posted on Truth Social that iPhones sold in the United States must be manufactured in the U.S.—not in India or anywhere else.
Last month, Reuters reported that due to Trump’s tariffs on China, Apple was eyeing India as an "alternative production hub" amid supply chain concerns and fears of rising iPhone prices.
Apple had announced that most of the iPhones sold in the U.S. in the June quarter would be sourced from India. However, Trump has now reiterated that the devices must be made domestically.
“I told Apple’s Tim Cook a long time ago that I expect the iPhones sold in the U.S. to be made in the U.S.—not in India or any other country. If not, Apple will have to pay a minimum 25% tariff,” Trump said.
According to NDTV, Trump's warning on Truth Social immediately caused Apple’s stock to drop by 2.5% in pre-market trading, which also dragged down U.S. stock index futures.
Apple has not yet responded to Reuters' request for comment on the matter.